There may be several reasons why you can’t get insurance through traditional private insurance companies:

• You have a poor driving record. 

• You own a special, high performance car. 

• You have not driven long enough. 

• You have not owned your car very long and therefore have no car insurance record. 

• You live in an area where theft and vandalism losses are high.

State assigned risk pools.

State assigned risk pools operate under a system in which every car insurer participates in proportion to the amount of business they do in that state on a voluntary basis. Each insurer must accept the motorists assigned to it, retaining the profit or absorbing the loss that comes with that customer. The car insurance premiums you will pay will be substantially higher under assigned risk pools than directly with a private car insurance company, but at least you will be able to obtain coverage. To find the assigned risk pool or the equivalent in your state, ask your car insurance agent or the state insurance department.

Get a policy from a private car insurance company that specializes in “high-risk” drivers.

You may find a better deal by checking with a private car insurance company specializing in “non-standard” auto policies. These companies write policies for people with bad accident records, high-performance cars, or who live in “high-risk” neighborhoods. These car insurance companies also may be able to sell you more comprehensive coverage than is available through assigned risk pools. To get a list of companies selling non-standard insurance, contact your car insurance agent, state insurance department or Roughnotes ( http://www.roughnotes.com ). They will refer you to car insurance brokers selling this kind of insurance.

Source: Insurance Information Institute, Inc. www.iii.org

What information do I need to give to my car insurance agent or company?

Your agent will ask you what make and model cars you own, roughly how many miles you drive each year, and what kind of car insurance liability coverage you will need. The agent will also want to know how many people drive the cars, how old the drivers are, where you live, and driving records of each household member.

The agent will then ask more detailed questions about your cars, such as their Vehicle Identification Numbers (VIN), whether they have passive restraint systems or air bags, anti-lock brakes or anti-theft devices. If you already have another insurance policy with the company for home or life insurance, you might receive a discount on your car insurance policy. You should also mention if you or other drivers in your household have completed safe-driving courses and if student drivers in your home are getting good grades -- both of these may qualify you for discounts on your car insurance policy.

Once the agent has assembled all of the information, a premium will be quoted to you. The premium will depend on all the factors above and on the deductibles you choose.

Source: Insurance Information Institute, Inc. www.iii.org

What are the state minimum limits for car insurance?

Almost every state requires you to have car liability insurance. All states also have financial responsibility laws. This means that even in a state that does not require liability insurance, you need to have sufficient assets to pay claims if you cause an accident. If you don’t have enough assets, you must purchase at least the state minimum amount of car insurance. But car insurance exists to protect your assets. Trying to see how little you can get by with can be very shortsighted and dangerous.

If you've financed your car, your lender may require comprehensive and collision car insurance as part of the loan agreement.

Below is an example of the state minimum limits for car liability insurance. The first number refers to liability limits for bodily injury for any one person, the second to limits for all persons injured, and the third refers to property damage liability limits. For example, 20/40/10 means coverage up to $40,000 for all persons injured in an accident, subject to a limit of $20,000 for one individual and $10,000 coverage for property damage. For a detailed car insurance minimum limits listing by state please click here.

Source: Insurance Information Institute, Inc. www.iii.org